CEVA Logistics FZE to Expand Its Jafza Facility Seven Fold by 2009
12 November 2008 - 09:50 CET
Plans to invest over AED 3 billion in the regionCEVA Logistics FZE has initiated massive expansion in its Jafza facility to support its rapidly growing operations in the region. The expansion, which will see CEVA facility to grow seven folds, from its existing 20,000 sq. meter to 135,000 sq. meters, in the next 12 months, is a part of CEVA Group's AED 3 billion expansion plan to increase its presence in the region. CEVA Logistics FZE is the regional headquarters and the logistics hub of CEVA Group's Middle East operations.
"In the first phase we expect to open our first 20,000 sq. meter warehouse in November followed by a 30,000 sq. meter facility in December. These two facilities will support CEVA's industrial and automobile logistics services, respectively in the region," said Shamsudeen Ahmed, Director, CEVA Logistics FZE, revealing CEVA's expansion plan while talking to ‘The Zone' recently in Jafza. CEVA will open a 65,000 sq. meter multi-purpose facility, under construction, in October 2009.
"The expansion in our Jafza facility marks the beginning of our growth strategy in the region," Ahmed added. CEVA will be building number of local warehouses across the region to support its diverse logistics services.
CEVA Logistics FZE is a fully owned subsidiary of Netherlands based CEVA Group PLC., which is one of the world's largest logistics and supply chain management companies. CEVA was formed from the merger of the former TNT Logistics, a leading contract logistics operator with US based freight management major Eagle Global Logistics in August, 2007 and combines the heritage of both the market leaders. As of 31 December, 2007 CEVA's global network comprised more than 1,000 locations in 100 countries. Its annual revenue in 2007 touched Euro 6.3 billion mark. CEVA operates more than 600 warehouses around the globe summing a combined space of approximately 8.6 million sq. meters.
"We design, implement and operate end-to-end contract logistics and freight forwarding solutions for large and medium-sized local or multinational companies," said Ahmed commenting on CEVA's integrated services.
CEVA's contract logistics services include inbound logistics, manufacturing support, outbound/distribution logistics and aftermarket logistics. Its freight management services include air, ocean, and ground-based transportation, and freight transportation-related services such as customs brokerage, local pick-up and delivery service, materials management and trade facilitation.
CEVA focuses on a diverse range of market sectors including automotives and tyres, technology, industrial, retail and consumer goods, oil and gas, publishing, aerospace, and healthcare sectors. It has built leading market positions by understanding its focused sectors and has been applying its expertise to design and implement customized solutions that address sector-specific requirements.
"Our extensive knowledge of customer supply chains and sector expertise helps us to develop cost-effective solutions that create competitive advantages for our customers," said Ahmed.
"In the Middle East we are focusing on serving customers in the oil and gas, industrial, automotive and tyres, retail and fashion, technology and hospitality sectors. Being an excellence driven company we use a systematic approach that helps us do every job right, every time. Our zero-defect start-up process gets each project off to a good start. Once a project is under way, we never stop working to make it more efficient. Our use of the LEAN philosophy creates ongoing improvements throughout the life of a project.
"We offer a range of smart solutions for focused sectors. These are standard solution sets for industry segments with similar needs. Each set leverages our deep sector expertise and best practices to address common needs, while allowing for customization in areas unique to specific business and operations," Ahmed said explaining CEVA's key offerings and value propositions in the Middle East. "With our focused approach and excellent resources we expect to achieve huge growth in our operations in the region," he added.
"CEVA envisions becoming the most admired company in the supply chain industry worldwide and seeks to achieve revenues of Euro 10 billion by 2010. We in the Middle East hope to contribute substantially in achieving our ambitious goal," Ahmed asserts.
For further information:
Sara Faravelli
Marketing & Communication Manager
+39 02 89230270
sara.faravelli@cevalogistics.com
CEVA. Making Business Flow
CEVA Logistics is a leading global supply chain management company. We provide end-to-end design, implementation and operational solutions in contract logistics and freight forwarding to large and medium-sized national and multinational companies. CEVA employs 54,000 people and runs an extensive global network with facilities in over 100 countries. Following the merger with EGL in August 2007, the new combined company had pro forma sales of € 6.3 billion. For more information, please visit www.cevalogistics.com.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT, 1995:
The statements included in this news release, and other statements that are not historical facts, may contain forward-looking statements. In addition to the assumptions specifically mentioned in the above paragraphs, there are a number of other factors that could cause actual results and developments to differ materially from those expressed or implied by these forward-looking statements. These factors include, but are not limited to, the process of combining EGL and CEVA, the actual effects of recent and future regulatory changes and technological developments, globalization, levels of spending in major economies, the economic climate in Asia and the US, levels of marketing and promotional expenditure, actions of competitors and joint venture partners, employee costs, future exchange and interest rates, changes in tax rates, unexpected costs of integrating recently acquired businesses and future business combination or dispositions and other factors detailed in risk factors and elsewhere in CEVA and EGL's most recent Annual Reports, including but not restricted to the EGL Annual Report on Form 10-K. Further information concerning the Company and its business, including factors that potentially could materially affect the Company's financial results, is contained in the Company's filings with the Securities and Exchange Commission. Should one or more of these risks or uncertainties materialize (or the consequences of such a development worsen), or should underlying assumptions prove incorrect, actual outcomes may vary materially from those forecasted or expected. EGL and CEVA disclaim any intention or obligation to update publicly or revise such statements, whether as a result of new information, future events or otherwise.
